Many indicators tend to imitate the peaks and troughs on the price chart with a
series of similar highs and lows. Divergence occurs when the indicator fails to
imitate the pattern on the price chart, a sign of trend weakness and likely
reversal.

In an up-trend, if price makes a new High (a higher peak than the last) but
the indicator fails to do so, that is a bearish divergence.

In a down-trend, if price makes a new Low (a lower trough than the last) but
the indicator does not, a bullish divergence occurs.

A triple divergence only occurs where a divergence has given an incorrect signal.
Instead of reversing direction, price has made a new, higher High (in an
up-trend) or lower Low (in a down-trend). If the indicator repeats its signal by
making another lower High (in an up-trend) or higher Low (in a down-trend), this
is an even stronger signal than the original divergence.